Company Accounting 7th edition continues to be the authoritative textbook on corporate financial reporting. The new edition has been thoroughly updated to reflect the numerous and ongoing reforms as a result of Australia's adoption of IFRSs. The text succinctly documents recent adjustments by the IASB/AASB in respect to the presentation of financial statements, accounting for intangible assets, accounting for income tax and the new reporting recommendations for business combinations under Phase II. The text provides students with a comprehensive and practical grounding in the practice and principles of company accounting, essential information on why and how company accounting entries and disclosures are made, and the process of business combination for a corporate group.

NEW TO THIS EDITION

New chapters on Corporate Governance, Leases and Equity Accounting.Chapter 8 Business Combinations - outlines proposed changes to ASSB3 as a result of the Exposure Draft of Proposed Amendments to IFRS3.Revised to accord with changes in AASB as a consequence of continuing reforms with IFRS.More 'Learning Check' summaries in all chapters reiterate and summarise important concepts.New 'Student Activity Section' in each chapter contains a summary, demonstration problems, discussion questions, case studies, graded exercises and problems. Reorganised end-of-chapter sections contains more diverse activity scenarios for students in an attempt to develop a broader skill base.FEATURES

'Learning Checks' support chapter learning objectives and summarise key knowledge for students. They appear throughout each chapter and are ideal for self-study purposes. Thorough illustrative examples and demonstration problems with various examples supported with step-by-step narrations. ABOUT THE AUTHORSKen Leo, B.Com (Hons), MBA (Qld), AAUQ, ACA, FCPA is Professor of Accounting at Curtin University of Technology, Western Australia. During his 30 years as an academic, he has taught company accounting to undergraduate and postgraduate students, been a founding member of the Urgent Issues Group, and involved in writing books and monographs for a variety of organisations including CPA Australia, Group of 100 and the Australian Accounting Research Foundation.

John Hoggett, B.Com (Hons), B.Th., MFM (Qld), AAUQ, ACA, FCPA recently retired as senior lecturer at Curtin University of Technology, Western Australia. During his 30 years as an academic, he taught company accounting and accounting theory to undergraduate and postgraduate students. He has written books and monographs for a variety of organisations including CPA Australia and Group of 100 and been involved in accounting education with the Curriculum Council of Western Australia.

John Sweeting, BEc, MEc, PhD, CPA, CA is currently a Senior Lecturer in Accountancy at Queensland University of Technology. John's background includes a mixture of academic and business positions. He has taught at Swinburne University of Technology, the University of Central Queensland and has spent time with the National Companies and Securities Commission (now the Australian Securities and Investments Commission). John has also held positions with a large international chartered accounting firm and a large manufacturing/retailing company listed on the Australian Stock Exchange. John has written for professional journals, and his main area of research is external reporting and profit forecasts in prospectuses. In addition to running in-house courses for accounting firms, John has also conducted Professional Development courses for CPA Australia and The Institute of Chartered Accountants in Australia. John has also been actively involved in both the CPA Program and the CA Program.

Jennie Radford, BCom, DipEd (Melb), MCom (Curtin), ACA, recently retired from the School of Accounting at Curtin University of Technology. She has co-authored two research monographs published by Group of 100 and the ASCPA. She has also contributed to and co-edited a textbook 'Financial Accounting Issues'. She was for many years employed as an auditor with 'Big 5' chartered accounting firms. Whilst at Curtin Jennie taught undergraduate and postgraduate courses in financial accounting and corporate accounting. She is a member of the Western Australia Cell of the External Reporting Centre of Excellence (ASCPA).

Table of Contents

Chapter 1: Nature and regulation of companiesThe nature of a companyDifferent types of companiesForming a companyAdministering a companyFunding a companyBackground to the Corporations Act 2001Accounting regulation of companiesOther important regulatory organisationsGeneral-purpose financial reports and the reporting entity concept

Chapter 2: Financing company operationsAccounting for share issuesUndersubscription and over subscriptionForfeiture and reissue of sharesShare issue costs and formation costsSubsequent issues of equity sharesShare optionsRedeemable preference sharesConversion of sharesShare buy-backsDebentures

Chapter 3: Company operationsThe elements of financial statementsRecognition criteria for the elementsMeasurement and classification of the elementsDividendsReservesThe income statementRetained earnings and the statement of changes in equityThe balance sheet

Chapter 4: Accounting for income taxDifferences between accounting and income tax treatmentsGeneral principles of accounting for income taxCurrent tax liabilityDeferred tax liabilities and assetsRecognition of deferred tax liabilities and assetsMeasurement of deferred tax assets and liabilitiesChanges in tax ratesTax lossesDisclosurePayment of income tax

Chapter 6: LeasesWhat is a lease?Classification of leasesClassification guidanceSubstance over form: incentives to misclassify leasesAccounting for finance leases by lesseesAccounting for finance leases by lessorsAccounting for finance leases by manufacturer or dealer lessorsAccounting for operating leases Accounting for sale and leaseback transactionsLikely future developments

Chapter 8: Business combinationsThe nature of a business combinationAccounting for business combinations - basic principlesAccounting in the records of the acquirer: cost of combinationAccounting in the records of the acquirer: allocating the cost of the business combinationAccounting in the acquirer: goodwill and excessAccounting in the records of the acquireeSubsequent adjustments to the initial accounting for a business combinationDisclosure - business combinationsBusiness combinations (Phase II) considerations

Chapter 9: Impairment of assetsIntroduction to AASBWhen to take an impairment testImpairment test for an individual assetCash-generating units - excluding goodwillImpairment loss for a cash-generating unit - excluding goodwillCash-generating units and goodwillReversal of an impairment lossDisclosure

Chapter 14: Controlled entities: the consolidation methodForms of controlled entitiesApplying the consolidation methodControl as the criterion for consolidationPresentation of consolidated financial statementsParent entities and identification of an acquirer - reverse acquisitionsConcepts of consolidationExposure drafts on consolidationFormat of consolidated financial statements

Chapter 17: Consolidation: minority interestMinority interest explained Effects of an MI on the consolidation processCalculating the MI share of equityAdjusting for the effects of intragroup transactionsExcess on acquisition

Chapter 20: Liquidation of companiesWinding-up in insolvency and by the courtVoluntary winding-upPowers of the liquidatorThe liquidator's accountsProof of debtsPriority of payments of debtsRights of contributoriesAccounting for liquidation